When you’ve just graduated from college and are trying to settle into life as an adult, managing all of your new expenses can feel like a juggling act. When you add student loans into the mix, you might end up barely making minimum payments, accruing a considerable amount of interest as a result. If you’re hoping to start paying off your debt at a more reasonable rate and avoid bankruptcy in the future, use the following tips to your advantage.

3 Tips for Paying Off Student Loans as a Recent College Graduate

1. Put a Cash Windfall to Good Use

If you receive a life insurance payout or an inheritance after a loved one’s passing, you might have a number of ideas about how to put your new money to use. However, by immediately applying it to your student loan balance, you can significantly lower the net sum, as well as the consistent interest it accrues. This is also an excellent strategy for money earned from sweepstakes, real estate sales, and lawsuits.

2. Consolidate & Refinance Your Loans

From subsidized and unsubsidized to Parent PLUS, you might have a number of different student loans to pay off. They all have different terms and interest rates, which can make paying them back time-consuming and confusing. By combining or “consolidating” all of your debt and paying one monthly fee at a lower interest rate, you’ll save a considerable amount of money in the long run.

3. Alter Your Budget

When you’re struggling to climb the ranks from an entry-level position, getting a raise may not be a possibility in the near future. In the meantime, you can make higher payments on your student loans by setting spending limits for yourself and putting more of your income toward your debt. From couponing at the grocery store to not eating out as often, you can use the extra cash to pay off your loans at a faster rate.

If you’re hoping to avoid bankruptcy and pay off your student loans sooner rather than later, get in touch with Zellar & Zellar, Attorneys at Law, in Columbus, OH. They have been helping clients secure their financial futures since 1965 and will be happy to talk you through your options today. To learn more about their services, including estate planning, visit their website or call (614) 257-1643.

This article is intended to provide general information and should not be construed as legal advice or in creating an attorney-client relationship.